Requires DHS to establish quality-based reimbursement system for registered family child care providers participating in Grow NJ Kids.

This bill requires New Jersey's Department of Human Services (DHS) to create a quality-based reimbursement system for registered family child care providers who participate in both the state's subsidized child care program and the Grow NJ Kids quality initiative. It directs DHS to provide enhanced payments to these providers based on their quality ratings within the Grow NJ Kids system. The bill mandates DHS to seek necessary federal waivers to maintain funding for subsidized child care programs serving low-to-moderate income families. This directly affects registered family child care providers enrolled in Grow NJ Kids who serve subsidized families. The key mechanism is a tiered payment structure tied to quality ratings, replacing the previous reimbursement approach.